Soybean Farming in Canada - Market Research Report (2014-2029)
New York, United States
Last Updated: August 2024
NAICS 11111CARevenue
$4.7bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
5,712
Businesses
5,535
Wages
$XXX.Xm
Soybean Farming in Canada industry analysis
Revenue for soybean farmers has grown because of growth in soybean prices and exports. Exports account for the majority of revenue, so fluctuations in international demand have an outsized impact on revenue. Exports were artificially low in 2019, as they fell to a decade low, providing a small base on which revenue could more easily grow. Trade tensions between Canada and China have prevented further growth in exports. The Canadian government has criticized several social policies enforced by the Chinese administration. Canada has also supported its ally, the United States, in trade disputes with China. Chinese imports of Canadian goods fell sharply in 2019, but have gradually rebounded and are now at 70.0% of 2018 levels. Revenue for soybean farmers has grown at a CAGR of 6.4% to $4.7 billion through the end of 2024, despite a slump of 0.9% in 2024 alone as soybean prices are on the downswing following the COVID-19 pandemic.
Trends and Insights
- Global soybean prices determine soybean farming revenue. Soybean prices surged during the pandemic and peaked in 2022. They have started to come down, but are still elevated well above pre-pandemic revenue.
- Refineries need soybean oil for biodiesel. The surge in gas and diesel prices has driven significant growth in biofuel production, creating a substantial new market for soybeans.
- Soybean plants need large fields of open space. Production is largely focused in the eastern half of Canada, where the climate is more temperate.
- Soybean farms must reduce costs to stay competitive. While product innovation and differentiation help, price is the biggest driver of demand. Effective cost management is crucial for competing with other soybean farms, feed grain producers, and oilseed growers.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 6.4 % over the past five years, to reach an estimated $4.7bn in 2024.
Trends and Insights
Growing soybean prices fuel profit growth
- The world price of soybeans has grown considerably in recent years. They reached record highs in 2022 as the price of many commodities surged because of steep expansion in the wake of the COVID-19 pandemic, which fuelled inflation.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Disease or other unpredictable conditions are an omnipresent threat
- Soybeans are resilient and not as susceptible to disease or drought as other crops, particularly with the advent of GMOs. Despite this, any widespread issue could be disastrous to the crop and revenue.
Biggest companies in the Soybean Farming in Canada
| Company | Market Share (%)
2024 | Revenue ($short_0)
2024 | Profit ($short_0)
2024 | Profit Margin (%)
2024 |
|---|
There are no companies that hold a large enough market share in the Soybean Farming in Canada industry for IBISWorld to include in this product.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Soybeans for industrial use, Soybeans for human consumption and Soybeans for oil. Soybeans for industrial use is the largest segment of the Soybean Farming in Canada.
Trends and Insights
Growing competition for industrial soybean products
- Most soybeans are processed into meal, which accounts for the vast majority of crushed soybean production. Two-thirds of Canadian soybeans are for industrial uses. This segment has expanded in recent years.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Corn Farming in Canada
- Vegetable Farming in Canada
- Fruit & Nut Farming in Canada
Complementors
- Beef Cattle Production in Canada
International industries
- Soybean Farming in the US
- Grain Growing in Australia
- Grain Growing in New Zealand
- Cereals, Leguminous Crops & Oilseed Growing in the UK
- Legume Growing in China
Table of Contents
About this industry
Industry definition
This industry grows soybeans. Soybeans are most often used in livestock feed and vegetable oils, although a growing proportion of the crop produced by this industry is being used in biofuel production.
What's included in this industry?
Soybean farmingSoybean seed productionCompanies
Purchase this report to view all major companies in this industry.
Related Terms
BIODIESELBIOFUELHERBICIDESOYBEAN MEALGENETICALLY MODIFIED (GM)YIELDIndustry Code
NAICS 111110 - Soybean Farming in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Global soybean prices determine soybean farming revenue. Soybean prices surged during the pandemic and peaked in 2022. They have started to come down, but are still elevated ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Refineries need soybean oil for biodiesel. The surge in gas and diesel prices has driven significant growth in biofuel production, creating a substantial new market for soybe...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Soybean plants need large fields of open space. Production is largely focused in the eastern half of Canada, where the climate is more temperate.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Soybean farms must reduce costs to stay competitive. While product innovation and differentiation help, price is the biggest driver of demand. Effective cost management is cr...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Nonemployers account for the vast majority of all establishments and most employers have fewer than five workers. This indicates a heavily fragmented market.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
Detailed analysis
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Subsidies safeguard soybean farmers from price drops and stabilize their income. They also mitigate the impact of harsh growing conditions and adverse weather, ensuring less ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Input costs have grown for soybean farms as fertilizer prices have increased. Investors have also purchased farmland and raised rent prices.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Soybean Farming industry in Canada in 2024?
The market size of the Soybean Farming industry in Canada is $4.7bn in 2024.
How many businesses are there in the Soybean Farming in Canada industry in 2024?
There are 5,535 businesses in the Soybean Farming industry in Canada, which has declined at a CAGR of 0.7 % between 2019 and 2024.
Has the Soybean Farming industry in Canada grown or declined over the past 5 years?
The market size of the Soybean Farming industry in Canada has been growing at a CAGR of 6.4 % between 2019 and 2024.
What is the forecast growth of the Soybean Farming industry in Canada over the next 5 years?
Over the next five years, the Soybean Farming industry in Canada is expected to grow.
What does the Soybean Farming in Canada include?
Soybean farming and Soybean seed production are part of the Soybean Farming industry.
How competitive is the Soybean Farming industry in Canada?
The level of competition is high and increasing in the Soybean Farming industry in Canada.
